STRONGHOLD PRECINCTS Property Fund
The Stronghold Precincts Property Fund is a multi-asset open-ended wholesale fund which invests in direct property (real property), indirect property (unlisted property trusts which invest in real property), and a percentage of liquid investments (ASX listed A-REITs and cash deposits).
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Fund
StatusOpen
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Unit
Price$1.00
* Initial application
price will vary. -
Income
DistributionMonthly
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Portfolio
Value$25M
Fund Objective
The objective of Stronghold Precincts Property Fund is to generate recurring and sustainable monthly income with potential for capital growth for its investors.
Key Benefits
- Long term, sustainable investment vehicle
- High quality, multi-asset portfolio
- Diverse and established tenancy mix
- Quarterly redemptions
- Targeting strategic locations across SEQ for growth
Fund Summary
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Fund StructureA multi-asset, open-ended unlisted property fund
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Target Portfolio Allocation60% Direct Property
25% Indirect Property
15% Liquid Assets -
Target Gearing Range35-45%
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Minimum Investment$25,000
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Unit PricingMonthly
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ApplicationsMonthly
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Recommended Minimum Investment Term5yrs
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DistributionsPaid monthly
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WithdrawalsProcessed quarterly1
OFFER OPEN TO WHOLESALE INVESTORS ONLY
1 Limited liquidity facility. This summary provides outline information for the Stronghold Precincts Property Fund. Accordingly,
this summary should be read in conjunction with the Information Memorandum and should not be relied upon as an independent source of information.
This summary is intended to provide general information only and has been prepared by Foundation Funds Management Limited ACN 623 977 122, AFSL 508424* (“we”),
without taking into account any particular person’s objectives, financial situation or needs. Investors should, before acting on this information, consider
the appropriateness of this information having regard to their personal circumstances. We recommend investors obtain financial advice specific to their
situation before making any financial investment decision. We do not warrant or represent that the information contained on this website is complete,
accurate or verified. Any forecast, projection or statement of opinion is not a representation or warranty as to future matters. Past performance is not a
reliable indicator of future performance. To the fullest extent permitted by law, we and our Authorised Representatives expressly disclaim all liability to
investors for any loss arising from any representation or warranty, express or implied, contained in information on this summary. Please also refer to the
information/disclaimers contained in the Information Memorandum regarding the issue of Units in the Stronghold Precincts Property Fund.
A STRONG VISION FOR INVESTMENT RETURN
Why Stronghold
Established in 2013, Stronghold has grown from a single trust, to now managing or co-managing more than 10 closed-end trusts. These trusts represent in excess of $200 million of quality property assets.
In 2019, the Directors recognised the need to evolve to ensure Stronghold continues to deliver and enhance the high quality of investment management that their investors have come to expect. This evolution has led to the group establishing specialist investment management services focusing on two sectors: Stronghold Commercial and Stronghold Hospitality.
The Stronghold Precincts Property Fund is overseen by Stronghold Commercial, investing in commercial assets that satisfy the Investment Committee’s criteria and fit within the Precinct Model.
The Stronghold Precincts Property Fund Investment Strategy
Stronghold invests a great deal of research to identify commercial precincts that meet its stringent location, planning and financial performance criteria.
The Stronghold Precincts Strategy commences with an initial acquisition that is monitored comprehensively. As Stronghold develops intimate local market knowledge and assesses the location’s long-term sustainability, this initial step is followed up by further property acquisitions in close proximity which benefit from that market knowledge.
Implementing this strategy empowers Stronghold to uncover, understand and maintain a detailed understanding of the supply and demand, financial metrics and occupancy drivers of a given location. This comprehensive list of factors gives Stronghold an integrated approach to managing its portfolio of properties and a strong point of differentiation enabling it to consistently deliver against its high performing investment objectives.
This strategy also promotes in-depth involvement of management within each precinct’s business community, developing strong tenant relationships to minimise tenant churn, the key to maximising occupancy.
Key Fund Features
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Direct and Indirect Property InvestmentsCommercial office assets which may also incorporate areas of service warehouse and/or retail
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LocationsAustralia, predominantly metropolitan and major regional locations targeting suburban and non-CBD commercial markets which are underpinned by transport infrastructure, including both public transport and arterial road connectivity; and amenity drivers, Such as shopping, food and entertainment venues
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Tenant ProfileTargeting multi-tenanted assets which are fully let or substantially let to credit worthy tenants
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Scale CapacityAbility to invest at scale within each location to establish a Precinct-style approach, facilitating the value proposition of the Stronghold Precincts Property Fund and its Managers
A STRONG TRACK RECORD OF SUCCESS
Portfolio Attributes
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Properties
2
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Wale
3.7YRS
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Occupancy
92%
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Gearing
50%
Properties Portfolio
33 Brandl Street,
Eight Mile Plains QLDNet lettable area2,524m2Occupancy84%WALE2.2yrs
3 Hi-Tech Court,
Eight Mile Plains QLDNet lettable area2,507m2Occupancy100%WALE5.4yrs
33 Brandl Street,
Eight Mile Plains QLDNet lettable area2,524m2Occupancy100%WALE3.5yrs
A STRONG AND EXPERIENCED TEAM
Meet the Team
THE STRONGHOLD TEAM
BRUCE ANDERSON
HEAD OF FUNDS MANAGEMENT
KIRSTY HEYMINK
HEAD OF ASSET MANAGEMENT
LORENZO PARENTI
Compliance Office / Financial Controller
STUART SMALL
BDM/INVESTOR RELATIONS
TIM DUNSDON
FUND MANAGER
FOR MORE INFORMATION PLEASE CONTACT
If you are an Australian Investor and you request the Information Memorandum (IM) for the Stronghold Precincts Property Fund you represent and warrant to the Trustee and the Manager that you are, and at all times will be a “Wholesale Investor” as that term is defined in the Corporations Act.
You acknowledge that the IM will be provided to you on a strictly confidential basis solely for your personal and/or adviser use. You undertake not to provide the IM to any other party without the written consent of the Manager, which may be withheld in its absolute discretion.
DOWNLOAD THE INVESTMENT SUMMARY
